As the stock market continues to present investors with opportunities, Ruchit Jain, an esteemed analyst at 5paisa.com, has highlighted two potential stock recommendations that are worth considering for a bullish investment outlook. These recommendations come from different sectors, with each stock showing strong potential for growth in the coming days.

Share Market Live

NSE

Ruchit Jain's first stock recommendation comes from the auto sector, specifically the two-wheeler space. He believes that Hero Motocorp is poised for an upward trajectory, based on its recent performance and chart analysis.

The stock has witnessed a promising upward movement, followed by a period of consolidation. During this consolidation phase, a bullish flag pattern has formed on the daily chart, indicating a potential continuation of the uptrend. Moreover, the 20-day moving average (DMA) is acting as a crucial support level during this consolidation, further reinforcing the positive sentiment.

According to Jain, investors should consider buying Hero Motocorp at the current levels, anticipating a strong follow-up buying in the upcoming days. To mitigate potential risks, he advises setting a stop loss at Rs 3,040. As for the price targets, Jain suggests aiming for levels around Rs 3,300.

It is noteworthy that Hero Motocorp has already shown impressive gains of over 9 percent in the past month.

The second stock recommendation by Jain is in the defense sector, specifically Bharat Earth Movers Limited (BEML). Jain observes positive signs in the stock's recent performance, making it an interesting candidate for investment.

BEML experienced a notable breakout on the weekly charts following an upward move on a Friday. This breakout was accompanied by substantial follow-up buying during the current trading session, backed by healthy trading volumes. This indicates that the stock is gaining momentum and may continue to do so in the coming week.

While BEML may not have shown the same level of upward movement as some other stocks in the sector, Jain predicts a "catch-up" move for the stock, suggesting a potential surge in the near future.

To manage risk, Jain recommends setting a stop loss at Rs 1,650. When it comes to potential price targets, Jain suggests aiming for levels around Rs 1,900.

It's worth noting that BEML has already recorded gains of more than 12 percent in the last month.

Disclaimer:

The views and investment tips expressed by investment experts on CNBCTV18.com are their own and not that of the website or its management. CNBCTV18.com advises users to check with certified experts before taking any investment decisions.

Catch all the latest updates from the stock market here

First Published:Jul 24, 2023 1:24 PM IST